In a letter to the AFI yesterday, the Ministry had drawn its attention to a few contentious clauses in its constitution and asked it to hold re-elections for a few particular posts.
Ministry today instructed the Federation to carry out the elections within the period of 60 days, or 28 February 2013, whichever is earlier.
"The AFI has been directed to amend its constitution to delete Article XIV(b)(1) and hold elections to the three posts (president, secretary and treasurer) de-novo," a Sports Ministry release said.
"They have been advised that if the above action is not carried out within the period of 60 days, or 28 February 2013, whichever is earlier, the recognition to AFI shall stand withdrawn without any further notice," the release added..
The Ministry also warned of taking action against the AFI if clauses were not amended.
"It was found that Clause XIV(b)(1) of the Constitution of AFI required that a person must be an existing member of the Executive Committee of the AFI for seeking election to the post of President/Secretary.
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"This Clause was found to be restricting the potential candidates and was also in violation of the National Sports Development Code 2011. It was also observed that the election to the post of treasurer was also in contravention of the Department of Personnel & Training's Circular dated 22-4-1994," the release said.
Sports Ministry had recently de-recognised the Archery Association of India (AAI) for for "violating the age and tenure guidelines" of the government's sports code during its elections last month, and Indian Amateur Boxing Federation (IABF), stating its election process was "flawed and faulty".